Yesterday, the Australian dollar once again tested the resistance of the MACD line on the daily chart and pulled back slightly. From the technical point of view, the longer the price stays motionless, the more the Marlin Oscillator will decline downward, as its reversal is already planned on the way to the overbought zone. The price drift below the nearest target level of 0.7227 will become a condition for its further advance to 0.7171 and, probably, further to 0.7065. It is very likely that the price will reach the target level of 0.6950 by the end of January.
Consolidating above the MACD indicator line (0.7274) will open an alternative scenario with growth to the target of 0.7414 - the August 2020 high.
On the four-hour chart, the price is still in doubt - should it create divergence with the Marlin Oscillator or not? Obviously, this issue will be resolved at the beginning of the new year.
Consolidating below 0.7227, which also coincides well with the MACD line, will confirm the price's intention to develop the downward movement.
